ING U.S. Looks to Raise $1.5 Billion in IPO

ING U.S. expects to raise up to $1.5 billion in its initial public offering, according to a regulatory filing, in what would be the largest U.S. debut since January.

The U.S.-based financial-services unit of ING Groep NV filed plans for the long-awaited deal in November, the latest effort by its Dutch parent to shed overseas operations as required by a 2008 government bailout. The IPO comes as a gradual rise in stock-market values this year has fueled demand for new companies’ shares.

The financial-services unit and its Dutch parent plan to sell 64.1 million shares for an estimated $21 to $24 each, according to the regulatory filing late Tuesday. ING U.S. intends to receive $600 million and reduce ING Groep’s stake to 75% in the deal.

At $1.5 billion, the IPO would be the second-largest new U.S. listing this year and the fourth-biggest globally Zoetis Inc., an animal-medicine unit of Pfizer Inc., saw its IPO raise more than $2 billion in January.

ING U.S., to be renamed Voya Financial, is the fifth-largest seller of term-life insurance and the second-largest provider of defined-benefit contribution retirement plans in the U.S., according to the filing.Morgan StanleyGoldman Sachs Group Inc. and Citigroup Inc. are serving as the deal’s lead underwriters.